By Azeem Ahmed Khan

Punjab’s farm ownership structure has shifted further towards owner-operated agriculture, with owner farms rising to 4.376 million in 2024, while tenant farms have fallen sharply to 0.335 million, according to the Agricultural Census 2024 report available with Wealth Pakistan.

This change is important because ownership status affects farm decision-making, investment behaviour, access to credit, the use of machinery and the willingness to improve land. A larger owner-operated base may support long-term farm planning, while the decline in tenant-operated area suggests a changing rural land-use structure.

The census shows that the number of owner farms increased by 1% from 4.325 million in 2010 to 4.376 million in 2024. In contrast, owner-cum-tenant farms declined by 25%, falling from 452,293 to 338,744, while tenant farms dropped by 29% from 472,780 to 335,080.

The shift is more visible by tenure in the farm area. The owner farm area expanded by 15%, increasing from 20.602 million acres in 2010 to 23.790 million acres in 2024. However, the owner-cum-tenant farm area declined by 9% from 5.368 million acres to 4.868 million acres, while the tenant farm area fell by 29% from 3.356 million acres to 2.383 million acres.

The data point to a stronger ownership base in Punjab’s agriculture, with more area directly operated or controlled by owners. The owner-operated area increased by 13%, rising from 22.701 million acres to 25.599 million acres. On the other hand, the tenant-operated area declined by 18%, falling from 6.626 million acres to 5.441 million acres.

At the same time, the census highlights a major increase in land fragmentation. The number of fragmented farms rose by 12%, from 1.755 million in 2010 to 1.963 million in 2024. More significantly, the average number of fragments per fragmented farm increased from 3 to 8, showing a 167% rise.

This means that even as owner farming has strengthened, land parcels have become more divided. Fragmentation can make farm management more complex, particularly for irrigation, mechanisation, harvesting and input application. It can also increase operating costs if farmers have to manage several scattered plots.

Punjab’s overall farm area expanded by 6%, from 29.326 million acres to 31.040 million acres, while the average farm size increased by 9%, from 5.6 acres to 6.1 acres. However, the increase in fragments shows that the physical management of land may still be a challenge.

The census presents a mixed but important picture: Punjab’s agriculture is moving towards stronger owner control, tenant farming is declining, and the owner-operated area is expanding. But the sharp rise in fragmentation underscores the need for farm planning that accounts for not only ownership but also the structure and manageability of land parcels.

Credit: INP-WealthPk